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EU Fines Apple and Meta Nearly €700 Million for Breaching Digital Markets Act
The EU fines Apple €500M and Meta €200M for breaching the Digital Markets Act. Apple faces cease-and-desist order; Meta’s controversial “pay or consent” model under scrutiny.
ND
by News Desk
2025-04-23
EU Fines Apple and Meta Nearly €700 Million for Breaching Digital Markets Act

The European Union has fined tech giants Apple and Meta a combined total of 700 million euros (nearly $800 million) for violating the Digital Markets Act (DMA), the first sanctions under the EU's new regulation aimed at curbing the power of Big Tech firms.

Apple has been slapped with a 500-million-euro ($570 million) penalty for restricting app developers from communicating with users about alternative sales and offers outside of the App Store. Meta, the parent company of Facebook and Instagram, has been fined 200 million euros (around $230 million) for its controversial "pay or consent" model, which forces users in the EU to either pay for ad-free access to its platforms or consent to targeted advertising.

These fines come after a yearlong investigation by the European Commission, the EU’s executive body, into whether the two companies were complying with the DMA, which became effective last year. The DMA aims to rein in the influence of major tech firms by enforcing stricter rules around user data handling, digital marketplaces, and competition.

In addition to the fine, Apple has received a cease-and-desist order requiring the company to make changes to its App Store operations by late June. If Apple fails to comply with these changes, the Commission could impose additional daily penalties for continued violations.

Meta, for its part, has made changes to its business model, but the European Commission is still assessing whether these updates now fully meet DMA requirements. While the company has not received a cease-and-desist order like Apple, the Commission is closely monitoring whether the revised model meets the regulation’s standards.

These penalties, while significant, are procedural in nature and are much smaller than fines the EU has issued under its broader antitrust rules, which have previously targeted Apple and Meta. Last year, Apple was fined 1.8 billion euros ($2.05 billion) for abusing its dominant position in the music streaming market, while Meta was penalized 797 million euros ($909 million) for promoting its classified ads service.

However, the fines and ongoing enforcement of the DMA could further escalate tensions with the United States, where President Donald Trump has previously threatened retaliatory tariffs on countries penalizing US companies. The White House had already warned in February that it might consider countermeasures in response to the EU’s digital regulations, which include the DMA and the Digital Services Act (DSA), a separate law targeting online disinformation.

Despite the mounting regulatory pressures in Europe, Big Tech companies are also facing legal challenges within the US. Meta is currently on trial over accusations of stifling competition through its acquisitions of Instagram and WhatsApp, which could lead to forced divestitures. Additionally, Apple and Amazon are facing antitrust lawsuits, and Google has suffered two significant defeats regarding its dominance in internet search and digital advertising.

Meta has expressed its intention to appeal the European Commission’s ruling, accusing the EU of singling out American firms with "targeted attacks."

The European Commission’s decision marks a significant step in enforcing the DMA, with the EU showing it is committed to curbing Big Tech’s dominance in the digital marketplace.
Tagged:

META

Apple

DigitalMarketsAct

BigTech

EURegulation
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